Friday 21st Oct 2016 - Logistics Manager

10pc of IT spend is in the cloud

Cloud-computing services from external service providers are estimated to be 10.2 per cent of the spending on external IT services, according to a worldwide survey by Gartner.

Gartner surveyed 1,587 respondents in 40 countries about their IT spending trends

Research director Bob Igou said: “The cloud market is evolving rapidly, with 39 per cent of survey respondents worldwide indicating they allocated IT budget to cloud computing as a key initiative for their organisation.”

“One-third of the spending on cloud computing is a continuation from the previous budget year, a further third is incremental spending that is new to the budget, and 14 per cent is spending that was diverted from a different budget category in the previous year.”

46 per cent of respondents with budget allocated to cloud computing indicated they planned to increase the use of cloud services from external providers. Gartner reckons there is a shift toward the “utility” approach for noncore services, and increased investment in core functionality.

More respondents expected an increase in spending for private cloud implementations that are for internal or restricted use of the enterprise (43 per cent) than those that are for external and/or public use (32 per cent).

“Overall, these are healthy investment trends for cloud computing. This is yet another trend that indicates a shift in spending from traditional IT assets such as the data centre assets and a move toward assets that are accessed in the cloud,” said Mr. Igou